DA CHOP

Markets are higher this morning with semis and tech leading while ags, real estate, metals and small caps lag.

NYSE- 400 net green;

NAZ- flat internals;

NDX- 84 GREEN;

SPX - 315 GREEN;

DJIA 25 GREEN;

VIX- down 6% and trading bit below the SMA 10;

TRIN- .56 up volume 2.5x the down.

GOLD down a bit after the big move higher the last few days- dollar - perfectly flat while the EURO is down a bit.

RSI 2 levels a bit over bought at 66 on the SPX and 79 on the NDX.

Pisani- who knows all suspects stocks aren't moving higher because too many traders are expecting a double dip-

Expecting a range bound day and may be better off getting on my bike and leaving this trading too others.

POST JOBS PRE OPEN

Futures are trading a little green this AM as the jobs numbers came in near expectations although the unemployment rate did tick up a hair- also some of the earlier numbers were revised to the down side.

Its the long 3 day weekend and the bias is generally to the upside for the day-

Some comments this morning about the move in gold and treasuries and how/why gold is going up while interest rates go down- and equities hang in all the while-

Some folks expecting some kind of major event such as a major bank issue, an attack on Iran- or something else unknown-

No idea but I did dump some DGP/PAAS yesterday on the big run up and will probably buy it back if prices sink lower.

RSI 2 levels in the middle of the range at/near 50 on the major indexes while the VIX has settled down and is now about 5% above the SMA 10.

ES Futures dipped back to the flat line while I was typing- back later.

THE CLOSE

Markets closed near the highs as the buyers showed and and didnt appear to care all that much about tomorrows job number- hmmm.

SPX +8.5, NAZ +16 and the DJIA +64- and the NYSE internals were strong all day and closed with 1600 net green stocks- although Pisani does say that lots of those stocks were barely green or red- dont know.

Strongest sectors-metals, banks, fins, trannies and oil service while ags, drugs, tech and bonds lagged.

NYSE-1500 net green.

NAZ- 900 net green.

NDX- 77 GREEN.

SPX 375 GREEN.

VIX- down 6.5% at 27 and about a point above the SMA 10.

Sold some gold and some PAAS today- and will look to buy back at lower prices- just seemed right as the 1k number on gold probably brings in some sellers.

RSI 2 levels on the SPX back to 50 and a bit higher on the NAZ/NDX/RUT- so not doing much in those areas yet- looking to dump some longs at higher levels now that most are bearish again- just turn on the tv- they will get bullish higher- no doubt.

LOOKING FOR 1K

Markets continue to drift higher with the SPX +4.5, NAZ +10 and the DJIA +31. The big story however is over in the gold pits as the yellow metal is higher by $16 and trades a few bucks under my $1,000 target - as the law of large numbers come home to roost.

Strong sectors- metals, gaming, banks, emerging markets and retail while ags, drugs, tech, homies and semis lag.

NYSE- 900 net green;

NAZ- 400 net green;

SPX- 315 GREEN;

NDX- 75 GREEN;

VIX- down 5% at 27.5 and about 5% above the SMA 10.

TRIN- .63 with up volume about 3x the down.

RSI 2 levels on major indexes hovering near the 30 level as the over sold levels are being left in the dust.

Balance of the day- not expecting much but it will be interesting to see if they get bought or sold in the final hour- in the mean time - this fish is looking to dump some DGP over 1k on the yellow metal if we get there today- its pretty pretty close.

THE OPEN

Equity markets are trading flat as of the 10.AM economic number release- ISM improving but not helping equities.





Strongest sectors- gaming, metals, fins, emerging markets and oil service while homies, drugs, tech, semis and small caps lag.





NYSE- 350 net green;


NAZ- flat internals;


NDX- 37 GREEN;


SPX- 255 GREEN;





VIX- flat at 28.7 and more than 10% above the SMA 10.





TRIN- .47- with up volume 3x the down- FRE FNM AIG C all big gainers with big volume skewing as usual.





NQ has turned tail and is leading lower while the SPX is the strongest of the big indexes - and Doug Kass expanding his short book as I type- FWIW- no other great insight and keeping mum for a bit as Tuesday's post was pretty ugly.



Bill with the over bought VIX;

Looks like another Obama pick coming shortly.

MORN with some early picking.

THE OPEN

Markets are trading at their highs of the morning as good news is getting bought again- and thank EBAY for the nice SKYPE news as they sell it out for $2.5B +.

Strongest sectors- gaming, energy, semis, trannies and emerging markets while junk, bonds, real estate and brokers lag.

NYSE- 1400 net green;

NAZ- 1200 net green;

SPX - 420 GREEN;

NDX- 97 GREEN;

VIX- flat at 26.

TRIN- 1.09 with up volume about 3x the down - note FNM FRE C AIG all down or flat- SKEWING the TRIN- in light of all their volume.

EURO- higher.

DOLLAR flat.

GOLD +4.

SILVER flat.

CRUDE- +1.25.

NGAS +.02.

RSI 2 levels near 60 on major indexes and markets gave us all a little gift yesterday as the level shrank to 10 on the RSI - usually a good level to buy especially in a strong bull market and that appears to be where we are right now. The Trend is the friend and it is up for now.

THE CLOSE

As I suspected - the bulls showed up this afternoon and cut the days losses in half - also note the low of the day a little before 10 AM- - so pretty bullish overall- I am sure the bears are none to happy with this performance.

Strongest sectors- brokers, bonds and biotech while gaming, oil service, metals and homies lagged.

NYSE- 1500 net losers.

NAZ- 1200 net losers.

NDX- 8 GREEN.

SPX- 95 GREEN.

VIX- higher by 5% at 26.1.

TRIN- 1.57 with down volume about 5x the up.

Traded some SSO to the long side - and made a few bucks - and still have some for turnaround Tuesday tomorrow-

RSI 2 levels a bit better than 10- and a move up tomorrow is probably in the cards as I suspect the Chinese markets come back tonight - and maybe even some new money comes in the next few days to give us a little oomph for a rally.

AFTERNOON SLOP

The SPX hit the low for the day before 10.00 Eastern and the general rule is that the number will hold - also note the area was the DS2 on the SPY - so we will see.

Pretty odd that the dollar is down on this big equity sell off and the EURO is trading near its daily high.

Brokerage index and IAI trading flat to green with the CME leading the way.

Consumer stocks seem to be the only area trading flattish with CVS GIS KMB PM WAG and V in the green.

Thinking we will get some green shoots this afternoon as the bears can't seem to get it down below the earlier levels-

Here is a nice chart on the Baltic Dry.

Just wondering what this here will mean for VZ?

Some odd recession losers.

Dr. Brett with some correlation themes.

MORNING MELT

Markets open very ugly on the heels of the big down day in China- the SPX -13, NAZ -29 and the DJIA -98.

Strongest sectors- bonds, junk, drugs and biotech while gaming, energy, oil service, emerging markets and semis lag.

NYSE- 2000 net losers.

NAZ- 1400 net losers.

NDX- 4 GREEN;

SPX 26 GREEN;

VIX- up 9% at 26.95.

TRIN- 2.69 with down volume about 20x the up.

RSI 2- at/near 10 on most major indexes and that is typically a signal to start scaling long in bull markets- and a bull market generally defined buy the slope of the major moving averages- all to the North.

So this fish is going to be scaling in to some longer term swing trades as the probabilities are with the longs for now-

What is actually surprising is that the dollar has barely moved- an expectation of a move higher - not happening.

Doug Kass with his top call.

Bove on the hysteria.

Is this a deep pocket for Madoff scandal.

Donald Duck buying THOR.

Finally, some late night battles.

SUNDAY CHECK

Markets had an interesting week as the SPX was basically unchanged while there was wide volatility as the range for the week was about 23 points- well maybe not so volatile for the week but each day had significant volatility.

Usually as the markets become more volatile there is a good chance that the direction will change- so looking for that and also mindful of the fact that folks want to find entry points as many have missed the big move up-

This fish looking for a move to the EMA 20 near 1006- as that line has been excellent support since the middle of July.


The TRIN has been a hot button of late as I have found it to be fairly useless of late as the low priced stocks of BAC C FRE FNM skew it in which ever way they trade- huge follow to very few stocks makes a adv/dec volume indicator kind of useless- and here is Dr. Brett with his recent take on the subject.


Cerberus Fund with a few redemption issues.





MORN with their take on the soup of economic recovery.





Mark Sanford back in the news.





More problems for Chris Christie.



One other thing- all the right wing twitter/bloggers aghast about this bill on a cyber security emergency- but never a word about the prior wiretapping and eavesdropping- who would have thought.